Veolia Transport Australasia - proposed acquisition of Melbourne Train Franchise
Type of assessment
Informal Review
Reference
36554
Acquirer(s)
Veolia Transport Australasia
Target(s)
Melbourne Train Franchise
Industry
Public Transport
Summary
Veolia Transport Australasia Pty Ltd, in conjunction with Bombardier Transportation Australia Pty Ltd proposes to acquire the Melbourne Metropolitan Train franchise currently being offered by the Victorian Government. Bombardier has interests in the manufacture and supply of rolling stock.
Outcome of assessment
Not opposed
Total review days *
16
Commenced public review
10th February 2009
Date completed
3rd March 2009
Market definition
Without reaching a concluded view, the ACCC considered that the market for public transport services in regions of metropolitan Melbourne, and a national market for the supply of rolling stock, were relevant to this matter.
Competition analysis
The ACCC considered that the acquisition of the Melbourne metropolitan train franchise by a single operator was unlikely to substantially lessen competition, but noted that competition concerns may arise if one entity held interests in multiple franchises (e.g., train and tram). The ACCC also considered that the chosen franchisee would not have an ability to foreclose competition for the supply of rolling stock because the Victorian Government would retain responsibility for such procurement decisions under the franchise arrangements.
Review timeline
Date
Event
10th February 2009
ACCC commenced review under the Merger Review Process Guidelines.
25th February 2009
Closing date for submissions from interested parties.
3rd March 2009
ACCC announced it would not oppose the proposed acquisition.
* Total Review days = Total business days less public holidays and time during which the review was suspended.
